JG Summit to pay San Miguel $1.65 bln for Manila Electric stake

MANILA Tue Oct 1, 2013 1:43am EDT

MANILA Oct 1 (Reuters) - Philippine conglomerate JG Summit Holdings Inc said on Tuesday it will buy San Miguel Corp's stake in Manila Electric Co (Meralco) for 72 billion pesos ($1.65 billion), a discount of around 19 percent to market prices.

"JG Summit intends to finance the acquisition with a combination of debt and equity capital," JG Summit said in a filing to the Philippine Stock Exchange. It gave no further details.

The stake is equivalent to 27.1 percent of Meralco's equity and, according to current market prices, worth around $2 billion. JG Summit and San Miguel were not immediately available for further comment on the deal, which was announced on Monday.

($1 = 43.5 pesos) (Reporting by Erik dela Cruz and Rosemarie Francisco; Editing by Miral Fahmy)

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